Margin-led pricing

Menu pricing calculator

Find the net selling price required to cover variable costs, percentage fees, and a chosen contribution margin.

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Your inputs

Editable user inputs. No values are submitted.

Live result

Target net price$8.06

Covers the entered cost, percentage fee, and contribution target.

Formula

How the calculation works

Target price = fixed variable costs ÷ (1 − fee rate − target margin)
Worked example

With $5.40 fixed variable cost, 3% fees, and a 30% target margin, the target net price is $8.06.

Example only. It is not a benchmark or recommendation.

Restaurant menu pricing

How to calculate a menu price from portion cost

  1. Cost the recipe using usable ingredient quantities, then divide by saleable portions.
  2. Add variable labor and packaging per portion to the cost input.
  3. Enter fees as a percentage of selling price and choose a contribution-margin target.
  4. Compare the resulting net price with your menu, customer demand and overhead needs.

Read the restaurant menu pricing guide

Food cost percentage and margin answer different questions

A $3 ingredient cost at a 30% food-cost target implies a $10 price. But if labor and packaging add $2 and fees take 3%, the contribution at $10 is $4.70, or 47%. That contribution still has to cover fixed overhead and profit.

This calculator uses contribution margin, not a food-cost target. Do not enter 30% expecting ingredients alone to be 30% of the price. Use the food cost percentage calculator to check that separately.